890g.6363 T 84/269
The Counselor of Embassy at London (Sterling) to Mr. Allen W. Dulles12
Dear Allen: Perhaps you will inform the Department when you return to Washington of the present status of the Turkish Petroleum Company plans. Some months ago when Mr. Teagle was in London he told me by telephone that agreement had been reached between Gulbenkian and the British, American and Dutch groups and that he was leaving for Paris to consult with the French group, from whom he anticipated no obstacle.
I now learn from Mr. Piesse, Solicitor in London of the American group, that on the contrary agreement has not been reached. When it came to putting it down in writing the Royal Dutch have made objection to certain provisions and the whole matter is in process of negotiation anew. However, Mr. Piesse feels that real progress has been made and that it is only a question of proper wording before all parties will give their adhesion. Mr. Osborne of the Foreign Office more or less confirms the above.